General Meeting Statement

PAN PACIFIC AGGREGATES PLC

GENERAL MEETING STATEMENT

At today's General Meeting, Lynda Chase-Gardener, the newly appointed Executive Chairman of Pan Pacific Aggregates plc (the "Company"), the Canadian aggregates company, operating in British Columbia, will make the following comments:

"Firstly, I am delighted to take on the role of Executive Chairman of the Company supported by Thomas Masney, CFO and Euan McAlpine, Executive Director. I would also like to thank William Voaden for his work with the Company to date and his continued support.

Following my recent visit to the Company's operations in Canada, including the main producing asset, Quadling Quarry, I am pleased to report that it continues to trade well in a growing local market. The major contract announced in September is progressing in line with expectations and regular trade remains steady.

The diversion of the BC Hydro 911 emergency cable is well on the way to completion. We have finished our preparatory works and are now waiting for BC Hydro to lay the new cable. Although slightly behind the original schedule, this is not disrupting the quarry activities as we have stockpiled material. As previously reported, the cable diversion will allow us access to an estimated one million tonnes plus of reserves and it will also significantly reduce operating costs.

Despite the global economic concerns, we expect our local market to grow by more than 2% in both 2012 and 2013. The market is benefiting from major infrastructure works which began in 2009/10 and which are now in full swing. As a result, we anticipate some price growth this year.

Our first priority is to become cashflow neutral as soon as possible and the Board expects that this will be achieved through continued improvements and expansion at Quadling. We are reviewing all local opportunities available to the Company to profitably expand our asset base and discussions with the Local Council regarding the operation of Shaw Pit remain a key focus.

As announced on 10th January 2012, the Company has entered into non legally binding heads of terms with a third party financial institution in respect of a Stanby Equity Distribution Agreement ("SEDA") for up to £2 million in order to assist in funding the development of the group's business, ongoing working capital requirements and the £250,000 still outstanding and to be paid to the supervisor of the CVA. The Company expects to be able to enter into a legally binding agreement and will update shareholders shortly.

I would like to thank the shareholders for their continuing support and look forward to working with the management and staff to expand the business from its current strong base."

26 January 2012

For further information please see the Company's web site, www.panagg.com or contact: